FRANKFORT, KY – March 28, 2011 – (RealEstateRama) — Governor Steve Beshear, joined by Rep. Mike Denham, of Maysville, and Kentucky Housing Corporation (KHC) Chief Executive Officer Richard L. McQuady, today signed into law a bill that will help families purchase and live in homes they can afford.
“This legislation not only enables more Kentuckians to receive a home loan they know is safe and secure, it also strengthens Kentucky’s housing market and economic recovery,” said Gov. Beshear.
HB 256 enables KHC, the state housing finance agency, to create a new program for homeowners whose incomes are up to 175 percent of the area median income. Many two-income families had combined incomes that were above the income limits that KHC could serve, which disqualified them from receiving a KHC home loan and the down payment and closing costs assistance only available through KHC. Without the down payment and closing costs assistance, homeownership was out of reach for these middle-income families.
“It was my pleasure to sponsor this legislation that not only assists Kentuckians in my district but throughout the state,” said Rep. Denham. “Owning a home is the American dream. It will now be possible for more families because of HB 256.”
The bill also enables KHC to refinance mortgages with affordable, fixed-interest rates for 15-year and 30-year terms and makes mortgages for second-time home buyers available through KHC.
“These new programs will afford many Kentucky families the opportunity to own a home through KHC,” said McQuady. “Home buyers who use KHC can feel safe and secure in their fixed-rate home loan, which is serviced in Frankfort, Kentucky.”
These new changes will be effective at the end of April 2011. Kentuckians who receive a loan from KHC work with one of 105 lending partner banks and mortgage companies located in communities throughout the state. More information is available on KHC’s website at www.kyhousing.org under Homeownership or by calling toll-free in Kentucky (800) 633-8896 or (502) 564-7630, extension 291, or TTY 711.
Contact:
Kerri Richardson
Jill Midkiff
502-564-2611
